Corporate loan stock almost at the same level as a year earlier

The stock of loans granted by banks to non-financial corporations (NFCs)[1] has contracted by EUR 1.7 bn from the peak at end-May 2020 (EUR 60.8 bn) to EUR 59.1 bn at the end of March 2021. Nevertheless, in March the corporate loan stock still grew by 1.8% on the same month last year. During the COVID-19 pandemic, the corporate loan stock has grown at the fastest pace (14%) in May 2020. Since then, the annual growth rate has slowed significantly.
Growth in the stock of corporate loans has moderated particularly due to fewer drawdowns. In the first quarter of 2021, drawdowns of new corporate loans were down 42% on the same period a year earlier, when they were exceptionally brisk. In March 2021, new drawdowns totalled EUR 1.4 bn, with an average interest rate of 2.01%. According to the Bank Lending Survey, demand for corporate loans is estimated to have declined in the first quarter of 2021 mainly on account of weaker fixed investment.
Overall, despite the pandemic, impairments and credit losses from loans to NFCs have remained low. There are, however, differences between industrial branches. For example, in industries severely affected by the pandemic, such as accommodation and food service activities as well as arts, entertainment and recreation, more impairments and credit losses have been recorded relative to the loan stock, on average, than in other industries.
Uncertainty and precautionary behaviour have also been reflected in the swift growth of deposits placed by NFCs. Over the past year, corporate deposits have grown by almost EUR 5 bn. At the end of March 2021, NFCs held deposits amounting to EUR 44.3 bn in banks operating in Finland. The average interest rate on the deposits in March was -0.08%.
Loans
Finnish households drew down new housing loans in March 2021 in the amount of EUR 2.1 bn, up EUR 360 million on the same month last year. At the end of March, the stock of housing loans stood at EUR 103.6 bn, with an annual growth rate of 3.8%. Of all loans of Finnish households at the end of March, EUR 16.5 bn were consumer credit and EUR 17.4 bn were other loans.
Housing corporations’ drawdowns of new loans[2] in March totalled 450 million. The average interest rate on these declined from February, to 1.26%. At the end of March, the stock of loans to housing corporations stood at EUR 37.6 bn.
Deposits
At the end of March 2021, the stock of deposits of Finnish households totalled EUR 104.8 bn, and the average interest rate on the deposits was 0.05%. Of the total, overnight deposits accounted for EUR 94.8 bn and deposits with an agreed maturity for EUR 3.4 bn. In March, households concluded EUR 70 million of new agreements on deposits with an agreed maturity, at an average interest rate of 0.22%.
Data on buy-to-let housing loans will be released for the first time tomorrow 4 May in an article of the Bank of Finland Bulletin(financial stability issue).
The exclusion of non-recourse factoring (purchase of trade receivables) from the volume of corporate loans and average interest rates from March 2014 onwards led to a reduction in the average interest rate on loans to NFC and the amount of new loans.
For further information, please contact:
Markus Aaltonen, tel. +358 9 183 2395, email: markus.aaltonen(at)bof.fi
Anu Karhu, tel. +358 10 183 2228, email: anu.karhu(at)bof.fi
The next monthly statistical release will be published at 10 a.m. on 1 June 2021.
Related statistical data and graphs are also available on the Bank of Finland website: https://www.suomenpankki.fi/en/Statistics/mfi-balance-sheet/.
[1] Excl. housing corporations.
[2] Excl. overdrafts and credit card credit.
Images
Links
About Suomen Pankki
The Bank of Finland is the national monetary authority and central bank of Finland. At the same time, it is also a part of the Eurosystem, which is responsible for monetary policy and other central bank tasks in the euro area and administers use of the world’s second largest currency – the euro.
Subscribe to releases from Suomen Pankki
Subscribe to all the latest releases from Suomen Pankki by registering your e-mail address below. You can unsubscribe at any time.
Latest releases from Suomen Pankki
Marja Nykänen utnämnd till medordförande i Finansiella stabilitetsrådets regionala konsultativa grupp för Europa1.7.2025 17:00:00 EEST | Pressmeddelande
Utnämningen stärker Finlands aktiva roll som främjare av global finansiell stabilitet.
Marja Nykänen nimitetty kansainvälisen rahoitusvakausneuvoston Euroopan alueellisen ryhmän toiseksi puheenjohtajaksi1.7.2025 17:00:00 EEST | Tiedote
Nimitys vahvistaa Suomen aktiivista roolia kansainvälisen rahoitusvakauden edistäjänä.
Marja Nykänen appointed as Co-Chair of Financial Stability Board’s Regional Consultative Group for Europe1.7.2025 17:00:00 EEST | Press release
This appointment reinforces Finland’s active role in fostering international financial stability.
Hushållen har mycket konsumtionskrediter – tillväxttakten har mattats av1.7.2025 10:00:00 EEST | Pressmeddelande
I maj 2025 uppgick det utestående beloppet av konsumtionskrediter som banker med verksamhet i Finland beviljat hushåll till 17,6 miljarder euro och utlåningen minskade med −0,7 % från året innan. Minskningen i det utestående beloppet av konsumtionskrediter är en följd av att utnyttjandet av konto- och kortkrediter och utbetalningarna av konsumtionskrediter utan säkerhet har minskat. Konsumtionskrediter beviljade av banker står för 63 % av hushållens totala utestående konsumtionskrediter. I maj 2025 minskade hushållens utestående kortkrediter[1] (3,6 miljarder euro) med −1,0[2] jämfört med ett år tidigare, då de utestående kortkrediterna vid motsvarande tidpunkt året innan ökade med nästan 6 %. Vid utgången av maj var 19 % av kortkrediterna räntefri betaltidskredit och 81 % äkta kortkrediter, dvs. kortkredit med ränta. I januari–maj 2025 utbetalades från bankerna 9 % mindre sedvanliga konsumtionskrediter utan säkerhet[3] jämfört med motsvarande tidpunkt ett år tidigare. Också det utestå
Kotitalouksilla runsaasti kulutusluottoja –kasvuvauhti hidastunut1.7.2025 10:00:00 EEST | Tiedote
Toukokuussa 2025 Suomessa toimivien pankkien kotitalouksille myöntämien kulutusluottojen kanta oli 17,6 mrd. euroa ja se supistui vuodentakaisesta −0,7 %. Kulutusluottokannan supistumiseen vaikuttavat tili- ja korttiluottojen vähentynyt käyttö ja vähäisemmät vakuudettomien kulutusluottojen nostomäärät. Pankkien myöntämät kulutusluotot kattavat 63 % kotitalouksien kokonaiskulutusluottokannasta. Toukokuussa 2025 kotitalouksien korttiluottokanta[1] (3,6 mrd. euroa) supistui −1,0 %[2] vuodentakaiseen verrattuna, kun vuosi sitten vastaavana aikana korttiluottokanta kasvoi lähes 6 prosentin vauhdilla. Toukokuun lopussa korttiluotoista 19 % oli korotonta maksuaikaluottoa ja 81 % pidennettyjä korttiluottoja eli korollista korttiluottoa. Tavanomaisia vakuudettomia kulutusluottoja[3] nostettiin pankeista tammi-toukokuun 2025 aikana 9 % vähemmän kuin vuosi sitten vastaavana aikana. Myös vakuudettomien kulutusluottojen kanta supistui toukokuussa. Suomessa toimivien pankkien myöntämistä kulutusluot
In our pressroom you can read all our latest releases, find our press contacts, images, documents and other relevant information about us.
Visit our pressroom